Terms of Reference This report has been produced as part of the AAT Level 4 Diploma in Accounting to cover the requirements of the Internal Controls and accounting systems unit. The report reviews the accounting systems and effectiveness of Chic Paints Ltd (CPL) internal controls. Specifically, the report looks into the way in which CPL keep and manage their financial records and whether the accounting systems that are in place need improvements. Internal systems of control will be analysed in detail, reviewing in particular how the internal systems support the current accounting system and if any new controls need to be introduced. Working methods including using company software and training will be assessed in terms of reliability and effectiveness; …show more content…
Part of the information has been obtained from the company’s diary of events in order to assist in writing this report. Likewise, the report recognises the technical standards consistent with potential issues of professional ethics to establish the suitability of the ethical principle and procedures in …show more content…
Nevertheless, if these opportunities are only theoretical, members can become disenfranchised. Training helps employees realise their goals by giving them the education they need to do their jobs better and to learn about new areas of business and even managerial skills they can use later on. CPL accounts department all have qualifications in AAT or with other professional bodies, some members of the department have expressed that they are keen on advancing their knowledge within accounting. It would be advantageous for CPL to take an interest in the employees who want to further their career in order to encourage a successful working department. 2.1.6. An evaluation of the accounting systems professional ethics Professional ethics is an important necessity when compiling information for financial statements. AAT states in the professional code of ethics that every member must follow the five main principles; Integrity, objectivity, professional competence and due care, confidentiality and professional behaviour. 3.1 Identify weaknesses and make recommendations for
The training and development of employees in William Hill is imperative for the performance or the company as they are in a competitive market. William Hill has to inform workers to be aware of surroundings in the area that they work. Training and Development Training Training is essential for both employees and employer if they want to be effective within the organisation and also for a company like William Hill to stay competitive within their market. The reason why training is important to employees is to enable them to achieve their maximum potential in their current position, it is needed also to develop them to create further opportunities within the organisation because employees are likely to be better educated and become multi-skilled. Training should be ongoing within William Hill in developing the employee’s skills within the business.
Without such controls it would be difficult for most business organizations like Trinity Industries with numerous locations, operations, and processes to prepare timely and accurate financial reports. Since no control system can guarantee that financial statements will not contain material errors or misstatements, an effective internal control system can reduce the risk of misstatements. Internal Controls should therefore be designed and implemented with the risk of fraud in mind and tailored to the circumstances of the company. In the case of Trinity part of the SOX project was to identify key process, by interviewing organizational members to understand how the processes and controls worked within the company, and who was responsible. With guidance from PCAOB AS No.5 they identified the gaps of controls and took steps to close them.
This organization has been setting ethical standards and publishing the Code of Professional Conduct for the profession since the early 1900s. A Code of Professional Conduct is necessary for any profession to help maintain strict ethical standards. This organization is the basis of ethical reasoning in the accounting profession because of what the Code of Professional Conduct covers. The code is comprised of a preamble and six articles. The preamble and the six articles serve as a foundation to provide guidance and guidelines for accountants to overcome any emerging ethical issues with ease on a daily basis. The six articles’ purpose is to protect the public, investors, and creditors. The AICPA Code of Professional Conduct consists of: Responsibility, Public Interest, Integrity, Objectivity and Independence, Due Care, and Scope and Nature of
In order to be successful in business, a company must be able to track their assets. This tracking system is typically done by a bookkeeper and must be reliable in order to be effective. The way a company ensures their financial records are reliable is by setting up a system of internal controls. Internal controls allow a company to protect its assets from fraud and theft as well as ensuring records are kept accurately by reducing errors and irregularities (Keisco, Kimmel and Weygandt, 2008). Internal controls work by assigning responsibility, separating duties to provide checks and balances, hiring an independent verification agent and through the use of technology and physical controls. In many instances, internal controls are required and overseen by the Sarbanes-Oxley Act of 2002.
Why It Is Important To Have A Professional Code Of Ethics. Part 1: A code of ethics is essential to a profession, especially a law enforcement agency in my opinion. A code of ethics will provide a starting point for the professionals and for others that they may deal with on a daily basis. It will also ensure fair treatment of members of the profession and the profession it serves. Ethics provides a framework for conducting essential information functions, instituting policies, and developing strategies for service.
The code of ethics are a guide of principles designed to help professionals conduct business honestly and with integrity.1Most organization have codes of ethics that its members are required to follow and it lays out the rules and acceptable behavior of its the members of ethics and which actions are acceptable or not acceptable business practices. One industry where professional codes of ethics is important is health care. Most health care workers belong to an accredited organization of their profession, such American Medical Association (AMA), American College of Healthcare Executives (ACHE), and American Nurses Association. They may also be required to have additional certification and rules they must follow based on the laws of the individual
With the evolving educational requirements the CPAs are not only required to achieve strong technical accounting knowledge but also improve skills such as problem solving, communications, leadership and other interpersonal skills. To expand their Accounting knowledge they need to widen their business knowledge encompassing finance, economics and technology (CPA Horizon,
The Code of Ethics pledges ethical practice in the accounting profession - constructed by the principles of integrity,
Training and development is essential to employee’s retention, loyalty and overall satisfaction. When employees feel there is opportunity within a company and diversity leading the way employees pride and productivity is enhanced.
This essay outlines ethical conduct in the workplace, which the focused business chosen was Slater and Gordon (“ S&G”). The essay will go into detail ethical issues that S&G, which will describe the meaning of ethical conduct, mean in a company, and their way of dealing with this it in a working environment of the company. Hence listing the tools of ethical conduct that S & G have set out to help in a working environment .I found some of the tools such as; code of conduct statement, Professional behaviour, integrity, confidentiality and privacy, conflict of interest, code of violation , gifts and entertainment, S&G premises and legal compliances.
The Code of Ethics for professional accountants includes set of the rules and guidelines Mostly code of ethics can contain set of ideal professional conduct and acceptable behaviour as well as define unacceptable behaviour []. Main advantage of he code is that accountants can emphasis on the positive attitude and activities that may encourage an effective...
How will the training and development programs move the employees closer to the organisation’s goal?
The accounting profession industry is changing rapidly, to maintain or develop the accounting profession, Malaysia may need to provide higher education and training for professional. In the future, there is a different of need requirements between the generations, for example, the generation “X”, which their age currently are between 30-45, they are building assets for their future and are keen to adopt new ideas. Besides, generation “Y” which their age are currently around 20-30, are a different breed (Nixon, n.d.). It is a faster moving generation compare to the previous generation. The younger professionals jump into larger roles so quickly, they must ensure that they are constantly learning on the job. Other than that, critical thinking and relationship-building as well as verbal and written communications skills are crucial to being a successful certified public accountant (CPA). Technical knowledge is a minimum requirement, the more diverse a candidate’s knowledge and expertise, the more valuable they become to an
Whether we are aware or not, the professional accountant relies profoundly on two fundamental things: ethics and integrity. As we learned in the core of this class, the professional accounting organization established the standards of integrity and ethical code that members should respect while practicing their profession. Integrity standards and the code of ethics are founded on an extensive obligation to objectivity, honesty, and fairness in accounting. The code of ethics is not only required the accountant to obey rules and regulations but also ask the professional accounting to have a reasoning to recognize any potential harm; use his judgment to determine conflict and present moral integrities and the motivation to resolve issues. And these are the principles that my parents and religion have taught me.
"I've learned that fear limits you and your vision. It serves as blinders to what may be just a few steps down the road for you. The journey is valuable, but believing in your talents, your abilities, and your self-worth can empower you to walk down an even brighter path. Transforming fear into freedom – how great is that?" (Soledad O'Brien).